The Three Classifications of Commercial Buildings

A leading real estate developer in West Palm Beach, Florida, E. Llwyd Ecclestone, Jr., has a development portfolio of buildings across the United States. A developer at National Investment Company, E. Llwyd Ecclestone, Jr., has been involved in the construction of several golf courses and complexes, along with numerous commercial buildings.

There are three categories of commercial real estate: class A, class B, and class C buildings. Of the three, class A buildings are the newest and most state-of-the-art. Featuring high-quality construction and top-quality management, they offer plenty of parking space and have great locations. Many of these buildings are energy efficient and offer high-end amenities, like fitness centers and leisure areas. Due to the experience provided by class A buildings, they attract top tenants, like large companies, and are the most expensive.

Class B buildings are a great alternative to class A properties. With a slightly lower build quality, they offer more affordable rental rates but still have good amenities. Most class B properties are older than class A buildings, so they show some signs of deterioration and are not as luxurious as class A buildings.

Finally, there are class C buildings. With the lowest rental rates, these buildings are more about function than luxury. They have some basic amenities, but usually have older and rougher finishes. These types of commercial properties are found in less-than-desirable neighborhoods and may lack certain modern-day features, such as central air conditioning and elevators. Small, family-run businesses and new companies with limited revenue often favor these buildings, as do companies that do not have customers visiting often.